Mortgage Interest Relief
The Mortgage Interest Relief is granted against the interest portion of your mortgage payments.
The maximum relief available on your mortgage interest payments depends on your personal circumstance, whether you are single, married, or a first time buyer.
Mortgage Interest relief should be granted at source by your mortgage lender. This is known as Tax Relief at Source (TRS) and means that you don’t have to claim the relief through the tax system.
Example – Tax Relief at Source
The tax relief available is at the standard rate of tax, currently 20%.
If the interest element of your mortgage repayment is €500 per month, your mortgage lender should reduce your monthly mortgage repayments by €100 per month (€500 x 20%).
Therefore, you only pay €400 per month.
If, however, you are making mortgage repayments and not receiving Tax Relief at Source, you should contact Irishtaxback.ie immediately.
Irishtaxback.ie will calculate the tax you are due back and also advise you on the appropriate forms to be completed in order for you to receive tax relief at source in the future.
Remember, this relief is also available against interest paid on loans taken out to renovate/refurbish your home. Again, Irishtaxback.ie will be happy to review this on your behalf.
